Previously, the Securities and Exchange Commission’s (the “SEC”) Division of Corporation Finance (the “Division”) stated in a no-action letter to an Israeli foreign private issuer (a “FPI”)that, in light of the ongoing conflict in the Middle East, it would not recommend enforcement action to the SEC if the directors and officers of such FPI do not file the beneficial ownership reports required by Exchange Act Section 16(a) until April 20, 2026 (see our previous post here). Today, April 17, the Division agreed to extend this relief until May 29, 2026, in light of the continued volatile situation in and around Israel.
Much like in its initial letter, the company’s incoming letter highlights the challenges of beginning to timely comply with Section 16(a) beneficial ownership reporting requirements in light of the challenging military environment, including the war among Israel, Lebanon and Hezbollah, and related issues such as intermittent loss of power, internet and other communications tools. The letter also highlights challenges in accessing legal and compliance services, like notary services, which are required to begin filing Section 16(a) reports.
Just like the Division’s original relief, this no-action position extends to directors and officers of other FPIs organized and headquartered in Israel and other foreign jurisdictions impacted by the ongoing conflict in the Middle East, as long as such FPIs “can represent that their ability to comply with the March 18, 2026 filing deadline mandated by the Holding Foreign Insiders Accountable Act has been materially affected by the direct effects of the conflict.”
Read the Division’s letter here.